The health plans will be sold on the Ohio health insurance exchange as well as off the exchange, with coverage to begin on January 1, 2018, according to the statement. It will be available for consumers in five northeast Ohio counties – Cuyahoga, Summit, Lorain, Medina and Lake.

"Together, Cleveland Clinic and Oscar Health intend to offer a different approach, one that breaks down the complexities between providers and insurers, allowing our patients to easily navigate the healthcare and health insurance systems, get the highest quality care at a reasonable price, and improve their overall health," said Steve Glass, Cleveland Clinic's CFO.

Mario Schlosser, Oscar Health's CEO and co-founder, added: "This is a rare opportunity to work with Cleveland Clinic to deliver the simpler, better, and affordable health care experience that consumers want.

"Oscar was founded to help restore the focus of our health care system on the needs of the consumers. By linking Oscar's member engagement platform to a world-renowned, physician-led health system like the Cleveland Clinic, we can align incentives and focus on the things that matter most: keeping members healthy; making it as easy as possible for them to find care when they need it, in the right clinical setting; and driving health care costs down."